Money Geek Says Consumers Underestimate Savings From Shopping for Car Insurance Quotes
Getting multiple quotes for car insurance can save you a lot of money, but how does it rank compared to other influences on premiums?
If you know anything about
Jerry
, you know how strongly we believe in the power of shopping around for car insurance
. It’s why Jerry exists in the first place. We know it’s the most effective way to lower your premiums, and we’re doing our best to get the word out there.Apparently, we’re not the only ones who think collecting multiple quotes is a good idea. A recent study from
Money Geek
shows that most consumers don’t understand how much they can save by getting multiple quotes before signing a policy.Money Geek thoroughly researched car insurance prices in its study, investigating the impact of six major factors: age, vehicle type, driver’s record, credit score, state, and provider. The company you sign up with turned out to have the most significant influence.
The results of Money Geek’s car insurance research
To compare factors, Money Geek analyzed over 400,000 car insurance quotes, comparing prices based on the factors listed above. Each one had a serious effect on premiums.
Drivers have more control over some influences more than others, but that doesn’t stop them from affecting prices. Money Geek’s data show that
age made a big difference
, with 18-year-olds paying over $3,500 more for car insurance than 40-year-olds, on average. State of residence and credit score, which drivers have control over but don’t necessarily affect driving performance, also changed rates considerably.
But the study also pointed to things drivers could do to lower their premiums. Avoiding tickets and accidents also made a big impact on insurance rates. And shopping around had the greatest potential for changing prices for the better.
The results of Money Geek’s survey
To get an idea of how drivers perceive car insurance rates, Money Geek surveyed over 1,000 consumers and asked them to rate nine factors from most to least influential.
Most people believed that having an accident affected prices the most, when in fact, according to Money Geek’s research, it was fifth on the list.
Based on the survey, drivers had a pretty good idea of the effect of age and vehicle type on car insurance, but they significantly underrated the influence of credit scores and insurance providers.
Survey respondents ranked
credit score
second last on the list when it was actually the second most impactful factor. They also thought they could save up to 23% each year by shopping around when Money Geek’s data shows they can actually save up to 33%.Where to shop for car insurance quotes
You can’t always control your credit score, your driver’s record, or the type of car you drive, but you can always choose who to go to for car insurance. The easiest way to find the right policy for the right price is with
Jerry
.Jerry is a personal insurance broker that lives in your pocket. But don’t worry about buying tiny office furniture, Jerry is an app.
Once you download Jerry, just answer a handful of questions that will take you roughly 45 seconds to complete and you’ll immediately get car insurance quotes for coverage similar to your current plan. Jerry customers save an average of $879 a year.
Compare Car Insurance Quotes For Free
Jerry automatically shops for your insurance before every renewal. Members save $872/year.
Start saving money!
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